CFPB Sends Shot Across Mortgage Servicers' Bow

By Evan Weinberger

Law360, New York (August 21, 2013, 8:20 PM ET) -- A Wednesday report from the Consumer Financial Protection Bureau highlighting “sloppy” compliance and consumer complaint practices among mortgage servicers is a warning to the industry to get up to speed on new rules for collecting home loan payments before they take effect in January.

In its summer 2013 supervisory highlights report, the CFPB noted continued problems among both bank-housed and nonbank mortgage servicers with maintaining accurate records, properly processing payments and working with borrowers to implement loss mitigation techniques that are required under federal law....